‘Leading American hedge fund managers have warned the sharp sell-off in equities and bonds over the past few days will inflict more pain on investors, as the consequences of low interest rates and debt build-up are felt across a range of economies. While Wall Street sold off heavily for the second time in three trading days on Tuesday over an oil price plunge and fears about central bank policies, the founder of the world’s largest hedge fund firm, Bridgewater Associates’ Ray Dalio, said markets were in a “cross current” because there was “only so much you can squeeze out of a debt cycle and we are there”. “When you can’t lower interest rates any more,” he said, there is a “limited ability to produce growth”. ‘